Best Life Insurance Companies in North Charleston

FAQs

• Where can North Charleston residents address concerns with insurance entities?

  Residents of North Charleston who have problems with insurance companies, agents, brokers, or adjusters can file a complaint with the South Carolina Department of Insurance's Office of Consumer Services. The SCDOI provides advice on life insurance and other types of insurance. Individuals can call 803-737-6180, send an email, or visit the SCDOI website to express their concerns or seek answers.

• How do no physical exam and guaranteed issue life insurance policies work in North Charleston?

  Life insurance policies in North Charleston that advertise no physical exam may cost more, but they usually require answering some basic health questions. Advertisements that say you cannot be turned down refer to guaranteed issue policies that do not require health screenings. These are frequently accompanied by higher premiums or capped coverage amounts in order to compensate the insurer for the increased risk. In some cases, the premiums paid over time may approach the potential death benefit.

• How does North Charleston ensure life insurance payouts if an insurer faces financial challenges?

  In North Charleston, the South Carolina Life and Accident and Health Insurance Guaranty Association guarantees death claim payments of up to $300,000 per individual if an insurance company declares bankruptcy or becomes insolvent. This limit applies regardless of the number or value of policies held. However, for added security, select an insurer with a solid financial rating and a proven track record.

• What are the considerations for North Charleston residents regarding employer-sponsored versus individual life insurance?

  For North Charleston residents, employer-provided life insurance is a valuable perk, but it terminates when they leave their jobs and may offer limited coverage options. Individual life insurance, on the other hand, remains in effect as long as premiums are paid, providing greater stability. Residents should consult a local insurance agent in order to gain a comprehensive understanding of their individual life insurance options.

• How do guaranteed issue life insurance differ from no physical life insurance in North Charleston?

  In North Charleston, guaranteed issue life insurance is for people who are 50 to 85 years old and have serious health problems, like a history of cancer or a long-term illness, that make it hard to get regular coverage. These plans do not ask about your health and often have a graduated death benefit. They may have a cash value, but you should not count on it.

• Which is better, term or whole life insurance?

  Life insurance is a personal financial tool, so the right type of insurance for you depends on your goals and current situation. One of the main differences between term life insurance and whole life insurance is that term life insurance only covers you for a set period of time. Once you meet the premium payment requirements on a whole life plan, it covers you for the rest of your life. Whole life insurance also builds cash value, making it a potential investment. But whole life insurance is typically much more expensive than term life insurance.

• How much life insurance do I need?

  A common recommendation is purchasing life insurance that is equal to five times your current salary, or more. But you can also estimate how much life insurance you need by adding up your debts, annual expenses for dependents multiplied by the years you want to ensure support, and any other items you wish to cover, such as a future wedding or college tuition.

• How does life insurance work?

  The details of how life insurance works depend on your individual plan, but the basics are as follows: 

  • You pay a premium to purchase the insurance. Typically the premium is paid monthly, but it could be rolled into quarterly, bi-annual, or annual payments. 
  • As long as you are meeting or have met premium obligations, if you pass away, the insurance company makes the agreed-upon payment to the beneficiaries you designated. 
  • Beneficiaries usually have to provide the insurance company with a death certificate to receive their payments.

• How much is life insurance?

  The cost of life insurance ranges widely. Term life insurance can cost as little as a few dollars a day, and whole life insurance can cost thousands per month on the high end. Factors that impact the cost of your life insurance include whether you're choosing term life insurance or whole life insurance, your age, how much coverage you want, your overall health, and your gender.

• Is life insurance taxable?

  Life insurance proceeds are the funds paid via your plan to your beneficiaries if you pass away. These are also called death benefits. Typically, these are not considered income for taxes. If you take out cash value from a whole life insurance investment and the amount exceeds how much you paid in premiums, the difference may be considered taxable income.

  
  

• Can I buy health insurance that is not Obamacare?

  When people say "Obamacare insurance," they typically mean insurance within the health insurance marketplace. You can get health insurance outside of the marketplace by going through your employer, choosing COBRA coverage if you leave your job, or buying a short-term health insurance policy through an insurance agent. ACA-compliant plans meet all the benefits and coverage requirements of the Affordable Care Act. But you may be able to find supplemental or short-term coverage that simply provides peace of mind for major medical expenses.

• Can I buy health insurance anytime?

  To buy health insurance in the marketplace, you must purchase it within open or special enrollment periods. But you can purchase short-term coverage to bridge the gap between now and the next open enrollment period. These plans are meant to be used for less than a year. You can purchase them online or via insurance agents, but they may not be ACA-compliant.

• Who should buy supplemental health insurance?

  Supplemental health insurance is a product that helps cover the cost of services that your primary health insurance policy doesn't. One popular option is secondary insurance that helps cover some of the costs associated with high deductibles. Medicare supplemental insurance is also popular. Medicare doesn't cover everything, and older adults on a limited income can face large prescription or medical bills after Medicare pays. Supplemental insurance helps reduce those patient costs.